What is aged care financial hardship assistance and how do you apply?

Aged care financial hardship assistance helps pay Support at Home costs you can't afford for reasons beyond your control. Services Australia assesses each application, and you apply with the SA462 form. Financial hardship assistance applies to Support at Home, which replaced Home Care Packages on 1 November 2025.

How is aged care funded in Australia?

Aged care in Australia is funded by the Australian Government and state and territory governments. Those receiving care also contribute to the cost. Most care recipients still pay a share, and what you pay in fees depends on an assessment of what you can afford.

Governments spent $39.8 billion on aged care services in 2024-25, and home care and support took 32% of that total. Government spending on home care and support more than doubled between 2017-18 and 2024-25. It rose from $6.3 billion to $12.9 billion after inflation. 

What is financial hardship assistance?

Financial hardship assistance covers aged care costs that you can't pay for reasons beyond your control. Services Australia manages all applications, and My Aged Care explains the rules. The government also calls the payment the fee reduction supplement.

You can apply for financial hardship assistance if you receive Support at Home. This also applies to you if you moved from a Home Care Package. 

Who is eligible for financial hardship assistance?

To be eligible for financial hardship assistance, you must meet five conditions. The SA462 form lists four of them as tick boxes on its first page. You aren't eligible if you can't tick every box that applies to you:

1. Assessment: Your income and assets have been assessed for aged care.
2. Assets limit: Your assets are below the current limit, which is 1.5 times the annual basic Age Pension with supplements.
3. Gifting limits: You haven't gifted more than $10,000 in any one financial year (the current year or the previous 4), or $30,000 in total.
4. Start date: For Support at Home claims, you started receiving care after 1 July 2014.
5. Approval: For Support at Home claims, you have a care assessment approval before you apply.

Services Australia checks how much income you have left after paying essential expenses. Before it grants financial hardship aid, it also checks whether other government programs could help. Essential expenses are what you must pay to meet your day-to-day living costs.

What is the aged care financial hardship threshold?

As of 20 September 2026, your assets must be below $48,270.30 to meet the published asset requirement for hardship assistance. The hardship assets limit is indexed each March and September, so check the current figure before you apply.

The published aged care financial hardship threshold is an asset limit, not a figure worked out from your care fees. Two rules decide how your assets are counted:

1. Excluded assets: Assets you can't sell or borrow against don't count towards the limit.
2. Evidence: You must send documents that prove any asset you say you can't sell or borrow against.

An asset isn't excluded from the hardship assets limit just because you'd rather not sell it. Services Australia assesses the circumstances and the evidence.

Financial hardship assistance has an income check as well as an assets limit. With less than 15% of the basic Age Pension ($170.31 a fortnight) left after essential expenses, you may get a full fee reduction supplement. With more than that, you may get a partial supplement, depending on your circumstances.

What does hardship assistance cover?

Financial hardship assistance covers your Support at Home contributions for independence and everyday living services. The government pays your provider directly, and you keep paying any amount you're still required to pay. Clinical supports such as nursing and physiotherapy are already fully funded, so you only apply for the other costs.

How do you apply for financial hardship assistance?

You apply for financial hardship assistance by completing the SA462 form and sending it to Services Australia. The SA462 form collects details of your assets and expenses. 

Step 1: Check the limits and your details

Check the financial hardship assets and gifting limits first, then make sure your details are up to date with Services Australia. Your outcome won't be correct if your details have changed since your fee advice letter.

Step 2: Get the SA462 form

Download the SA462 form from the Services Australia website. You can also call the Aged Care line on 1800 227 475 for a printed copy.

Step 3: Fill in your assets and expenses

The SA462 form asks about your bank accounts and essential expenses, and about any gifts and other assets you own. It asks for documents only in some situations, such as gifted assets or assets you can't sell. My Aged Care also asks for evidence of your expenses for the previous 3 months.

Step 4: Lodge the form

Send the SA462 form through your Centrelink online account, or post it to Services Australia Aged Care. Someone you've authorised, such as an enduring power of attorney, can sign for you.

Step 5: Tell your provider

Tell your provider as soon as you apply for hardship assistance. They can then pause your contributions while Services Australia assesses your claim. If your claim isn't granted, you pay those contributions back later.

What happens after you apply?

Services Australia writes to you with the outcome of your financial hardship claim. If you're granted assistance, the letter shows when it starts and how long it lasts. The letter also shows what the government covers and what you still pay.

If you're granted hardship assistance, Services Australia writes to your provider, saying how much they can ask you to pay. For Support at Home, a successful claim is backdated to the date you applied. Backdating can sometimes go further, to the date you started care, but the SA462 form says never before 1 November 2025.

If you're not granted hardship assistance and want to know why, call Services Australia on 1800 227 475.

How long does hardship assistance last?

Hardship assistance lasts for the period shown in your approval letter. If you need another copy of your letter, call Services Australia on 1800 227 475. If you still need help, you can apply again before your assistance ends.

What if you don't qualify?

You still have options if you aren't eligible for hardship assistance. Services Australia offers free financial information. The Aged Care Advocacy Line on 1800 700 600 offers free and independent support.

The Home Equity Access Scheme lets people of Age Pension age or older take a voluntary, non-taxable loan from Services Australia. The Services Australia website has a calculator to check whether you're eligible for the scheme.

If you received Home Care Package services before 1 July 2014, you can't get hardship assistance. Negotiate lower costs directly with your provider instead.

Have aged care contributions changed recently?

From 1 October 2026, approved personal care under Support at Home has no out-of-pocket cost if you have funding available. What you contribute to other Support at Home services hasn't changed.

Support at Home contributions also have a lifetime cap that's indexed on 20 March and 20 September each year. If you held or were approved for a Home Care Package on 12 September 2024, you pay the same or lower contributions as before.

FAQs

Can you apply for hardship assistance before you start care?

Yes, you can apply for hardship assistance before you start receiving aged care, or after you've started. Make sure you meet the assets limit and gifting limits first. If you already receive care and can't afford your fees or contributions, apply as soon as you can.

Is the SA462 the same as a general Centrelink hardship form?

No, the SA462 isn't a general Centrelink hardship form. The SA462 is the form for aged care costs, and Services Australia assesses it under the Aged Care Act 2024. Services Australia also checks whether other government help applies to you.

Can someone apply on your behalf?

Yes, someone authorised to act for you can sign the SA462 form on your behalf. Examples include an enduring power of attorney and a person holding a financial or administrative order. Whoever signs must show a photo ID at a Services Australia service centre or agent.

Can you apply if you moved from a Home Care Package?

Yes, you can apply for hardship assistance if you started receiving Home Care Package services after 1 July 2014. Your hardship letter shows the date your assistance ends, and you can apply again before that date if you still need help.

What counts as an essential expense?

The SA462 form counts day-to-day living costs, such as medication and utilities, as essential expenses. For Support at Home claims, food counts as well. Support at Home contributions don't count.

Getting help with your aged care costs from Sensible Care

At Sensible Care, we deliver Support at Home services, including self-managed Support at Home, and can help you make sense of your costs. Our team can explain your Services Australia assessment and contribution rate. We can also review your care plan and statements.

If you want to talk through your situation, you can speak with our team. You can also call us on 1800 121 000.

These amounts are set by the Australian Government and change at least twice a year. Check health.gov.au for the current amounts before you make a decision.